Detroit Real Estate Surges: Ranks 4th in the List of Hottest Housing Markets in the US

August brings good news for the Detroit housing market this year! Thanks to a report released by Realtor.com, Detroit broke into the top rankings on several lists as the end of the month draws to a close.

According to the popular real estate website, the Metro Detroit area came in as the 4th Hottest Housing Market in the United States—a drastic change from the area’s number 10 holding, a spot it claimed just last month.

Three neighborhoods in California took the first three spots on the list— Vallejo, San Jose and San Francisco.

The report was based on supply and demand, giving Detroit a leg-up on its competition.

According to Danielle Hale, chief economist for Realtor.com, Detroit is still operating at approximately 20% lower than its national competitors, even with the recent increase in housing prices. In addition to low housing prices, Detroit’s current median income is on-par with the national average. This gives buyers a bigger bang for their buck—allowing them to purchase a home that might otherwise be out of their price range elsewhere without sacrificing their income level.

In recent months, properties in Detroit have seen almost double the online traffic than other areas across the country.

“Lots of buyers are looking at properties on the market,” Hale said. “It’s a sign of buyer optimism about the future in Detroit.”

While purchasing a home in Detroit gives shoppers more buying power, the catch is in the available listings.

Houses are in such demand that buyers are literally fighting over every home. Houses in good condition will have multiple offers within days of entering the market. Even in cases where the homes are overpriced, they are still falling below national average—making Detroit a tempting market to investors and home buyers nationwide.

News Source: http://www.freep.com/story/money/personal-finance/susan-tompor/2017/08/27/detroit-hotbed-home-sellers/601286001/